Success strategies of internet primary banks in South Korea

Abstract

Recently, in Korea, Kakao Bank and K-Bank, which are Internet primary banks, have been newly launched and new changes are taking place in the financial market. In order to survive and succeed in Internet primary banks in the changing financial market environment, it is necessary to provide excellent customer value to their customers. The purpose of this study was to analyze the degree of influence of service quality on intention of continuous use and recommendation intention of Internet primary banks, and presented the banks’ survival and growth strategies. AMOS 21.0 was used for the measurement and hypothesis testing. The results of this study showed that transaction quality, design quality, and safety quality are found to have significant influence on intention of continuous use, but information quality does not have a significant effect. Second, information quality, transaction quality, design quality, and safety quality have a significant effect on recommendation intention. Third, intention of continuous use has a significant influence on recommendation intention. Therefore, it is confirmed that service quality factors are important to improve intention of continuous use and recommendation intention of Internet primary banks. ? Rushing Water Publishers Ltd. 2018.